These shares pay a different kind of dividend

From hospitality to transportation, sharing has gone mainstream

In March 2013, Chelsea Rustrum flew out of San Francisco and let a stranger drive off with her car.

Rustrum, co-author of the book, “It’s a Shareable Life,” is one of a growing number of people participating in the sharing economy, also known as collaborative consumption, which is generally defined as the sharing of goods and resources.

The sharing movement took off after the economy tanked around 2008; but now, thanks to technology, continuing economic struggles, and an openness to sharing among younger people, it’s growing rapidly. Imran Sayeed, a senior lecturer at the MIT Sloan School of Management, estimates that the sharing economy will make about $5 billion in gross receipts in 2014 — a number he says will likely double or even triple in the next two years.

While the emergence of startups like RelayRides and Airbnb has been well-documented, depending on who you ask, the sharing movement can include social networks or initiatives like New York’s Citi Bikes. But there are a few things that are generally agreed upon: you can make money by sharing what you own, cut your costs by sharing things that you need but don’t own, and, to capitalize, you should be open to new experiences.

As for Rustrum, she posted about her car on Twitter and Facebook, saying, “Anyone in SF want to borrow my car for the next 6 days?” She didn’t ask for any payment, but requested a ride to the airport that day and to be picked up when she returned.

“I feel better about my stuff not being idle or unused,” Rustrum said.

Bloomberg

Established brands are following startups into the sharing economy. For example, Patagonia partnered with eBay
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to create a marketplace for the brand’s pre-owned clothing, and Walgreens
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partnered with TaskRabbit, an online marketplace for outsourcing chores, to deliver medicine during this year’s winter flu season.

For purists in the space, it’s about meeting new people and constructing a mutually beneficial relationship. “It’s re-embedding society into economics,” says Neal Gorenflo, co-founder of Shareable, a non-profit sharing economy website.

From 2011 to 2012, Gorenflo conducted 30 of what he calls “experiments in sharing,” including creating a child-care co-op, sharing rides and starting a neighborhood tool library. His family saved $17,000 during that year, mostly due to child-care savings.

His experiment is over, but he continues to promote and live in the sharing economy by working at a co-working space, which offers meeting space, education and networking opportunities, and by using services such as GetAround, a marketplace for individuals to rent out their cars, and Lending Club, a peer-to-peer lending company, for investing.

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To get started in the sharing economy, Gorenflo suggests figuring out your biggest expenses — often housing or transportation — and finding solutions to cut them down.

“Finding a way to go car-free or car-lite is a good place to start,” Gorenflo said.

Joining the sharing economy is also made easier if you live in a co-living space, where housemates share meals and transportation, because then sharing is integrated into your life, says Rustrum. She has lived in several co-living houses and also spent months couch surfing in Europe.

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